FAC Explorer

Audit 39664

FY End
2022-06-30
Total Expended
$3.07M
Findings
2
Programs
7
Organization: Phoenix Indian Center (AZ)
Year: 2022 Accepted: 2022-10-27
Auditor: Redw LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
43212 2022-001 Significant Deficiency - I
619654 2022-001 Significant Deficiency - I

Programs

ALN Program Spent Major Findings
17.265 Native American Employment and Training $1.58M - 0
84.299 Indian Education -- Special Programs for Indian Children $818,640 Yes 1
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $236,296 - 0
93.276 Drug-Free Communities Support Program Grants $132,714 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $125,000 - 0
97.024 Emergency Food and Shelter National Board Program $93,925 - 0
93.933 Demonstration Projects for Indian Health $90,965 - 0

Contacts

Name Title Type
N9UZTMFKLWE7 Jolyana Kroupa Auditee
6022646768 Wesley Benally Auditor
No contacts on file

Notes to SEFA

Title: Program Costs/Matching Contribution Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Phoenix Indian Center (PIC) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: For the year ended June 30, 2022, the indirect cost allocation rate was 18.11%. The PIC did not elect to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance as covered in 2 CFR 200.414. The amounts shown as current year expenses represent only the federal grant portion of the program costs. Entire program costs, including the PICs portion, may be more than shown.
Title: Subrecipients Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Phoenix Indian Center (PIC) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: For the year ended June 30, 2022, the indirect cost allocation rate was 18.11%. The PIC did not elect to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance as covered in 2 CFR 200.414. The PIC did not provide federal awards to subrecipients during the year ended June 30, 2022.

Finding Details

Finding 2022-001
Federal program information: Funding agency: U.S. Department of Education Title: Indian Education ? Special Programs for Indian Children CFDA number: 84.299A Award number: S299A180043 Award period: 10/1/2018 ? 9/30/2022 Condition: Although Phoenix Indian Center has a set process for procurement it was determined through audit procedures that Phoenix Indian Center did not maintain adequate documentation to support the decisions made for a vendor during the fiscal year 2022. Criteria: Requirement for procurements are contained in 2 CRF 200.318 (i) and 200.323 that requires a procurement file to contain the history of the procurement, including rationale for the method of procurement, full and open competition or Indian Preference, selection of contract type, basis for contractor selection and basis for contract price and modifications. Additionally, procurement transactions should be conducted in a manner providing full and open competition in accordance with Phoenix Indian Center?s procurement standards. Per Phoenix Indian Center?s policies and procedures three bids must be obtained for purchases greater than $15,000. Questioned Costs: None noted. Cause: Internal controls to ensure that program expenditures are authorized and made in accordance Phoenix Indian Center?s applicable procurement policies and procedures were not followed. Effect: The federal program above was not in compliance with procurement requirements as sufficient documentation was not maintained and available for review. Auditor?s Recommendation: Ensure Phoenix Indian Center?s procurement policies are enforced by obtaining competitive bids for goods and serves when required, and ensure bid documentation are retained to substantiate compliance with Phoenix Indian Center?s procurement policy. Management?s Response: Management will immediately review the procurement process and ensure that required supporting documentation accompany vendor files.
Finding 2022-001
Federal program information: Funding agency: U.S. Department of Education Title: Indian Education ? Special Programs for Indian Children CFDA number: 84.299A Award number: S299A180043 Award period: 10/1/2018 ? 9/30/2022 Condition: Although Phoenix Indian Center has a set process for procurement it was determined through audit procedures that Phoenix Indian Center did not maintain adequate documentation to support the decisions made for a vendor during the fiscal year 2022. Criteria: Requirement for procurements are contained in 2 CRF 200.318 (i) and 200.323 that requires a procurement file to contain the history of the procurement, including rationale for the method of procurement, full and open competition or Indian Preference, selection of contract type, basis for contractor selection and basis for contract price and modifications. Additionally, procurement transactions should be conducted in a manner providing full and open competition in accordance with Phoenix Indian Center?s procurement standards. Per Phoenix Indian Center?s policies and procedures three bids must be obtained for purchases greater than $15,000. Questioned Costs: None noted. Cause: Internal controls to ensure that program expenditures are authorized and made in accordance Phoenix Indian Center?s applicable procurement policies and procedures were not followed. Effect: The federal program above was not in compliance with procurement requirements as sufficient documentation was not maintained and available for review. Auditor?s Recommendation: Ensure Phoenix Indian Center?s procurement policies are enforced by obtaining competitive bids for goods and serves when required, and ensure bid documentation are retained to substantiate compliance with Phoenix Indian Center?s procurement policy. Management?s Response: Management will immediately review the procurement process and ensure that required supporting documentation accompany vendor files.